InterGlobe Aviation promoter entities to sell shares

IndiGo's parent InterGlobe Aviation today said some of its promoter entities will offload shares under an institutional placement programme wherein there will also be fresh issuance of shares.
InterGlobe Aviation got listed on the exchanges in November 2015 and the promoters' holding stood at 85.88 per cent at the end of June 2017.
The company is required to have at least 25 per cent public shareholding within three years of listing.
Against this backdrop, promoter entities are planning to sell shares of the company.
Under the institutional placement, up to 3.36 crore shares are proposed to be sold. It would comprise fresh issue of 2.24 crore shares and offer for sale by four promoter entities.

Rakesh Gangwal, Shobha Gangwal, Asha Mukherjee and The Chinkerpoo Family Trust will offload up to 1.12 crore shares, according to a filing to the BSE.

The institutional placement programme was approved by the company's 'Issue of Securities Committee' during its meeting today.
Besides, the committee has approved and adopted the red herring prospectus for the issue.
According to the filing, promoter entities -- Kapil Bhatia, Rahul Bhatia and Rohini Bhatia -- (IGE Group) will sell shares before November 8, 2018.
"This would be to fulfill the "IGE Group's contribution to meet the existing percentage prescribed under requirements for minimum public shareholding," the filing said.

Shares of InterGlobe Aviation closed flat at Rs 1,220.30 apiece on the BSE.